Managing Environmental Risk with
Mitigation Banks
Mitigation banks are an increasingly popular way for resource companies to meet
environmental obligations in a more predictable and timely fashion
By Ray Ewing and Dan Maltese
M I T I G AT I O N B A N K S
Mining companies live in an unpre-
dictable world—sudden changes to min-
eral prices, fuel costs and labor rates,
along with constantly changing environ-
mental regulations are some of the risks
they face.
The mining industry, like many other
industries, relies on certainty and pre-
dictability when it comes to permitting
and regulatory compliance. Companies
can easily be blind-sided by regulator or
stakeholder concerns about a mine's
impacts, possibly resulting in unexpec-
ted expenses, delays and/or negative
publicity.
When it comes to compensation for
unavoidable environmental impacts,
many mining companies would like the
Mitigation bankers purchase a property in a
client's service area, such as the tailings
pile seen in the background, and
reclaim the lands, giving the
client environmental credits.
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